Volkswagen has announced an indefinite postponement of the ID.7 sedan’s US launch, with no new release date forthcoming.
The ID.7 is Volkswagen’s forthcoming electric sedan, having commenced sales in both Europe and China.
By early March, our focus had shifted to identifying possible trim levels for the premium sedan that would define its near-luxury segment standing. Last year, we tested the ID.7’s European trim on a drive and genuinely enjoyed it.
While our initial focus wasn’t on pricing or data variations, those aspects were intended to be revisited during Q3, around the time of the vehicle’s anticipated launch. Although a specific launch date had yet to be announced, the automaker intended to reintroduce the vehicle in North America during its 2025 model year.
Volkswagen has announced an indefinite delay in the launch of a new product, citing “unfavorable market conditions.”
While VW hasn’t disclosed specific market conditions, it’s reasonable to speculate on the factors driving its decision.
As manufacturers often claim, consumers require SUVs – an assumption partly fueled by emissions regulations. However, the ID.7 bucks this trend. When we first saw the ID.7, it was masquerading as the “House Vizzion” concept, with VW describing it as a blend of the aerodynamics of a Gran Turismo and the spacious interior of an SUV – an attempt to capitalize on people’s perceived desire for luxury vehicles by rebranding a relatively smart wagon as something more.
The ID.7 Tourer station wagon was born from that idea, while the ID.7 sedan represents the sedan variant of the same platform.
To dispel the notion that people won’t need sedans, VW might be addressing this perception.
However, Volkswagen EV sales aren’t doing as well as expected. Despite its modest presence in the US market, VW is poised to capitalize on the growing demand for electric vehicles, presenting an opportunity to expand its global reach and solidify its position as a leading player in this space? In the rapidly expanding North American electric vehicle (EV) market, where sales surged 13% in the first quarter compared to the same period last year, Volkswagen stood out as one of the few automakers experiencing a 3% decline in gross sales.
The advent of fresh styles also contributes to this phenomenon, with instances such as the recently-launched ID.4 2024, whose numerous upgrades render it akin to a mid-cycle refresh rather than a straightforward model-year update. The Volkswagen ID. Buzz, about which we recently shared details, is also expected to arrive later this year.
With the advent of innovative designs and cutting-edge features like NACS connectors, consumers may well be poised to adopt such advancements before investing in an entirely new vehicle.
A new type of fashion, dubbed ID.7, is expected to emerge soon, although its debut has been pushed back, as we’re now aware. Although some patrons may have been prepared for this development, we won’t truly understand its impact until it finally reaches U.S. shores. While robust gross sales may have been lacking elsewhere, potentially entering another market could have provided a much-needed boost.
However, according to VW, the ID.7 has become a business customary success, earning numerous worldwide awards. Additionally, demand for the ID.7 Tourer is reportedly larger than expected, particularly in Germany. This, combined with a disappointing start to sales in China where domestic manufacturers are increasingly capturing market share, may have prompted VW to refocus its efforts domestically and rethink opening new markets if things go well enough at home.
